GM's profits surged 30% in the second quarter, driven by continued strong demand for its pickup trucks and SUVs.
The details: The increase marks the second time this year the Detroit automaker has raised its profit outlook despite industry headwinds, including tariffs, rising energy costs and broader market pressures, according to Reuters.
GM raised its 2026 profit forecast by $500 million to a range of $14 billion to $16 billion after increasing it by the same amount earlier this year.
Quarterly earnings before interest and tax (EBIT) climbed to $3.9 billion from roughly $3 billion a year earlier.
The automaker maintained its projected $2.5 billion–$3.5 billion tariff impact—but expects $500 million in refunds for tariffs paid under the International Emergency Economic Powers Act, per Wards Auto.
What they’re saying: “We’ve managed to shrug off some of that uncertainty,” GM CFO Paul Jacobson told CNBC on Tuesday morning, saying that the company’s customers have “been very resilient,” per Reuters.
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Why it matters: GM's higher profit outlook signals that the automaker continues to successfully navigate tariffs and other market headwinds, providing dealers with added confidence in the company's financial stability and investment plans.
Between the lines: GM attributed its North American profit growth to disciplined pricing and robust demand for its SUVs and pickup trucks.
Full-size truck sales accounted for 204,425 vehicles (32.6%) of GM's 626,429 deliveries in Q1 and 242,403 vehicles (33.9%) of its 714,896 deliveries in Q2.
The average GM vehicle sold in the U.S. for about $52,000 during the second quarter, up slightly from a year earlier.
Bottom line: GM's results underscore the continued strength of the full-size truck and SUV market, suggesting dealers remain well positioned to benefit from sustained demand for the automaker's highest-margin vehicles even as broader industry challenges persist.
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